XRP investor as a loser? The Ripple ETFs have this problem

While for Bitcoin with the exception of the youngest Trump reset At the moment everything is going rosy, XRP is developing into a problem child. Despite the expansion course of Ripple Labs and the foreseeable end of the legal dispute with the US stock exchange supervisory authority (SEC) lack the third largest Cryptocurrency currently on momentum. XRP is currently $ 2.45, which means a 5 percent increase in course since the beginning of the year, but is still far away from the record high shortly before Trump's presidential occurrence.

This the Ripple Coin marked on January 17th on the crypto exchanges Binance, Kraken and Bitfinex at $ 3.33. Many investors now hope that the timely approval of the XRP spot ETFs The next price rally heralded in the USA. According to the decentralized betting platform Polymarket, the likelihood of an ETF start 2025 is 83 percent. But now crypto analyst Vandell Aljarrah warns of the disadvantages that the Ripple ETFs could bring with them.

“People are enthusiastic about the idea of ​​an XRP ETFS, especially if he is supported by Blackrock,” Aljarrah states in a recently published video. “But the actual question should be: who benefits most of it?” His fear: When developing Ripple index funds, the motivation is not to democratize access to the asset, but rather want to control the institutional players and make profit from them. “It's about packing a disruptive digital technology like XRP in a frame that Wall Street understands and masters,” says the crypto analyst.

For the US financial giants such as Blackrock or Fidelity, it is certainly attractive to collect annual fees with Bitcoin, Ethereum or XRP within a “regulatory comfort zone” via the already known ETF packaging. The start of XRP Spot ETFs of price development can benefit, but private investors should not be fooled: “For (XRP) investors, it means fewer property rights, less benefits and more susceptibility to market manipulations.” He therefore still recommends buying the coins directly instead of getting an indirect exposure via ETFs.

Cynthia Lummis lets the ripple CEO flash out

Meanwhile, the first started at the Chicago Mercantile Exchange (CME) on Monday Futures ETFs for XRP. A volume of $ 19 million was already recorded on the first day of trading. On Tuesday and Wednesday it was $ 33 million-a solid start for that Derivat. The adjoining of the SEC decision about the XRP Spot ETF from Grayscale should not hide the fact that the approval of the Ripple index fund is getting closer and closer. Crypto experts indicate a pattern that could already be observed at Bitcoin and Ethereum: first come regulated futures, then the ETF permit by the Sec. However, what the Ripple management tastes little is a cancellation of Senator Cynthia Lummis on the Brad Garlinghouse on X.

Lummis is considered a vehement Bitcoin advocate and is committed to ensuring that the US government acquires a million BTC for its strategic reserve within five years. The Ripple CEO expresses its disappointment with her behavior: “As a leading personality in the congress and senator from one of the most crypto-friendly states (WY), I hope that you will think about it again and work for all cryptocurrencies.”

Apparently he fears that Lummis is for Bitcoin, but not for Altcoins how XRP will use. Garlinghouse is always open to entertainment about the question “How to make the USA a crypto capital of the world, which is the goal of the Trump government”. It was only in January that escalated on social media Dispute between Bitcoin maximalists and XRP supporters. The latter called for a diversified crypto reserve, while the bitcoiners campaigned for a clear delimitation. The decision of the US government was sobering for Ripple fans: XRP is given its place, but only in the so-called digital asset stockpile, not in the strategic reserve.

Sources